Clean Production and third-party governance

Environmental policies and measures are controlled strictly, which make government and business locked in a non-cooperative game state. High cost and low flexibility is limited and criticized. As a new environmental policy, voluntary environmental management is adopted by from developed countries to developing countries. Clean production is one of voluntary environmental management tools. It can better solve both resource shortage and environmental pollution difficulties. Clean production technology is quasi-public goods with positive externality. Such product provided by voluntary non-profit organization is the lowest cost of institutional arrangements. As a bridge between government and enterprises, Industry associations can effectively motivate corporate environmental management of power, but also assist government implement policies to achieve a win-win performance both environmental development and government departments.